Frank Dev of Under Dev

7/21/2019 Frank Dev of Under Dev

1/11

nto

semi-

vel

s

petty

ot

ow,

some

wire

be

from

s

he

f

he

human

of

f

the

which

e

heY

e

paper

tried to

such

would

most

same

execu-

iving

o

lead

to

Thinking

about

DeveloPment

27

economic

development

as

a cure-all

one

is wont

to

overlook

or belittle

diffi-

culties

which

migirt

stand

n the

way

of the

easy

attainment

of

too

frequently

al l

too

ambitious

;rgets.

An honesi

and

critical

evaluation

of economicr0

nd

non-economic

barriers

to

such

development,

may

therefore

have

the

wholesome

effect

of

inducing

he

drawing

up

of

plans which

are

capable

of

actual

realization

and

will avoid

the emergence

f unforeseen

by-products

which

may

jeopardizethe attainmentof the objectivesof developmental

efforts.

Andre Gunder

Frank,

'The

Development

f Underdevelopment'

Reprinted

n

full

from:

Monthly

Review

September)

1966)

2

We

cannot

hope

to formulate

adequate

development

heory

and

policy

for

the

majority

of the

world's

population

who

suffer

from underdevelopment

withoui

firsi

learning

how

their

past

economic

and

social

history

gave

rise

to

their

present nderdevelopment.

et

most

historians

tudy

only

the

developed

metropolitan

countries

and

pay

scant

attention

to

the colonial

and under-

developed

ands.

For

this

reason

most

of

our

theoretical

categories

and

guides

o

development

policy have

been

distilled

exclusively

rom

the histor-

ical experien""

bf

the

European

and

North

American

advanced

capitalist

nations.

Since

he

historical

experience

f

the colonial

and

underdeveloped

ountries

has

demonstrably

been

quite different,

available

theory

therefore

fails

to

reflect

he

past oi the

underdeveloped

part

of

the

world

entirely,

and reflects

the

past

of

ihe

world

asa

whole

only

n

part. More

important,

our

ignorance

f

the underdeveloped ountries'history eadsus to assume

hat

their

past and

indeed

their

present

resembles

earlier

stages

of

the

history

of the

now

developed

ountries.

This

ignorance

and

this

assumption

ead

us

nto serious

misconieptions

about

contemporary

underdevelopment

nd

development'

Further,

most

studies

of development

and

underdevelopment

ail to

take

account

f

the economic

and

other

relations

between

he

metropolis

and

its

economic

colonies

throughout

the

history

of

the

worldwide

expansion

and-

development

f

the

mercintilist

and

capitalist

ystem.

Consequently,

most

of

our thiory

fails

to explain

the

structure

and

development

of

the

capitalist

r0

I have

not stressed

conomic

barriers

to economic

development

n

this

paper because

hey

have

eensummarized

n a

brilliant

fashion

by Professor

acob

Viner

in Chapter

Yl of his

Lectures

on he Theory

of International

Trade,

published n

Portuguese

ranslation

n Revista

Brasileira

de

Economia, no V, Numero2, June,1951).


2/11

28

Development

Studies

system

as

a

whole

and

to

account

or

its

simultaneous

eneration

f

under-evelopment

n

some

of

its

parts

a;;i;

rt

sgenera'if

erd

hat

";;;;;

;i:i#ff

,.:::l",iffi

ff

l*:;

",

apitalist

tages

nd

hat

ooay's

nderi-everopeo

..";;;,

ur."rr,,r

n

a

stage,

ometimes

epicted

T, -"" ::,r,""i

,;d;,

of

history

hrough

which

he

now

eveloped

ountries

assed

o"ng

go.

%t

even

a

modest

cquaintance

ith

istory

shows

hat

underd"""r.i. ",

ii.

r,o,

originar

or

tradiiionar

nd hat

t ::::Yrl-'-r:' nor he r"r"ntiiii" uio"ra"o"ropedountriesesembres

I

any

lmportant

espect

he

past

of

the

now

developed

ountries.

he

now

I

developed

ountries-were

ever

underdeveroped,

though

hey

may

ave-'idn

I

undevetoped.

t

is

arso.widely

;ii;;i;",

the

contemporary

irderdevetofi

ent

of

a

country

ca.n

e

understooJ

,

it

"

-proou.t

o,

,"n""'tion

solery

f

ts

;,1:fi:i,H:.;.ff

:,:.:l

j"li:l *1:urtu,ui"r,u,*tJst#;,,ructure

i

tori

ar'"."

rth

e

m

n

tra

e.,r'

,

o

n,

i,l;:T""x'J:::

fi

jIfi

H:*"flarge

part

the

historicat

roauci;il;;

continuing

conomic

nd

rher

elations

between

he

sate'ite

uni"ra"u"top"o

unJ-

r,"-^n"or'

rurropro

etropolitan

ountries-

urthermor",

l;;

relations

ur"

un

r-r"ntiur

urt

f

he

structure

and

development

;1;;

""pihi"

system

n

a

worrd

care

s

hole'

A

rerated

nd

arso

argety

;;;#;,

view

s

,r,utit

"

oJurropr.nt

r

[i'":J:j"::"#f,:"1":""""":,:t

-",9"

{r,1"

them

f theirmosrndep

evelopedomesticreas,ust noitt'ui ffi:'r"ht:?t*ffii*:lt;

*tt:::f

::iifitl'il:utions,

"rd;;.:,'io,r,"n,

.on,

r,"

nt",n"tion.r

oi

develooert

c..,,r rjpo, llipj-tll,,

Historical

perspective

Uas"a

on

-itre

unOerr._

I

d

eve

ope

co

n

ie

,p

u,

""p"ri"

;;".^r.#

f

ltff

.H:r:Tff:,

:::"::ffi

development

n

the

underde'v;l.o*

.liirr.i",

.un

no*

o"i",

"ry

indepq:

J

dently

of

most

of

these

elations

f

JiifGon.

4:

,0L",,*_.:,,:"11"":lli:::

r

in"o."

uni'liir"r"nr".

in

culture

ave

ed

manj

b

e

vers

o

s

ei

.

d

ua'

soci

i

".

;

ru;;ffi::;

ril,

"HHi#,:J:l

fi:';?::i::,j:"::,:

f:,*:"d;+;l;Fve

a

history

rits

wn,

stru

:l

l

l:

H

l

XTff

r:::

;;;:,''

r"."iffi

:':'J;:

ff

l'

"ilH

intimate

conornin,^,,.:l:T.lllj,:"i"lt

has

been

mportantty

ffecteO

ntimateeconomicrerationswitliil".l"u;rriJ?ffi

ilrlTt"?iflllf;

:lt,"iiJ:::11:Tif:'lf :l'3'::;,$;',"'"erydeveropedpreciseryr

r his ontact.heothei -, i' *iffi';"J"ffi;'::"lLifi:1l1

::?:"Hil:

based'

eudal,

'-p';-.;;,"ist,

-and,r,","ror."i,or.

I

believe

n

he

contrary

hat

he

entire

dua.

society

hesis

s

arse

ndhe

policy

ecommendations

.o

*rtiJiii"ais

w'1,

f

acted

pon,

erve

n/ntensify

nd

perpetuate

he

""ry;;;;;;s

of

underdeveiopment

trfup3osedll

fesigned

o

remedy.

A

mounting

bodv

o-f

evidence

suggests,

nd

I

am

confident

hat

i

lil]tfr',",lff

,:*t#f::llT,

j11fq.*iun,ionorthecapitaristsys

hepastcenruriesemectiverf

ai

;;;j;ffi

#;"J

jiff

?f

i

fi,,'J:fi

sotated

ectors

f

the

"1g"rg"""l"p"i'#-ro.

r,.r"r*"

i.TJ#ortu,

tical,

sociar,

and

culturar

nstitution's

i

i"rutions

we

now

observe

hex


3/11

f

n a stage,

now

ith

n

The now

hive been

solelyof

its

Yet

s in

nd other

art

of

as

a

f

by

under-

conomic

ndepen-

oun-

a

structure,

affected

by

part,

t

ecause

and

that

erve nly

to

hat future

most

ol-

here are

Thinking

about

Development

29

the

products

of

the

historical

development

f the capitalist ystem o less hanare

the

seemingly

more

modern

or

capitalist

ieatures-

of

the

national

metropoles

of

these

underdeveloped

ountries.

Analogous

o

the

relations

between

development

and

underdevelopment

n the

international

evel,

the

contemporary

nderdeveloped

nstitutions

f

the

so-called

ackward

or feudal

domestic

areas

of an

underdeveloped

ountry

are no

less

he product

of

the

single

historical

process

f

capitalist

development

han

are the

o-called

capi-

talist

institutions

of

the

supposedly

more progressive

reas.

should

ike

to

sketch

he kinds

of

evidence

which

support

his

thesis

and

at

the

same

ime

indicate

ines

along

which

urther

study

nd

research

ould

ruitfully

proceed.

The

Secretary

General

of

the

Latin

American

Center

or

Research

n

the

Social

Sciences

rites

n

that

center's

ournal:

The

privileged

position

of the

city

has

itsorigin in the colonialperiod.It was oundedby the cbnqueror to serve he

same

ends

hat

it still

serves

oday;

to

incorporate

he indigenous

opulation

into

the

economy

brought

and

developed

by

that

conqueror

and

his

descendants.

he

regional

city

was

an

nstrument

of conquest

nd is

still

today

an instrument

of

domination.'1

The

Instituto

Nacional

ndigenista

National

Indian

Institute)

of

Mexico

confirms

his

observation

whenlt

notes

hat

,the

mestizopopulation,

n

fact,

always

ives

n

a

city,

a center

of

an intercultural

region,

which

acts

as the

metropolis

of

a zone

of

indigenous

population

and

which

maintains

with

the

underdeveloped

ommunities

an intimate

relation

which

inks

he

center

with

the

satellite

ommunities.'2

he

Institute

goes

on

to

point

out

that

'between

the

mestizos

who

live in

the

nuclear

city

of

the region

and

he

Indians

who

live

in

the peasant

interland

here

s in

ieality

u

"16r",conomic

and

social

nterdependence

han

might

at

first

glance

appear,

and

that he provincialmetropolesby beingcenters f intercouisearealio centers

of

exploitation.'3

.

Thus

hese

metropolis-satellite

elations

are

not

limited

to

the

imperial

or

international

evel

but

penetrate

and

structure

he very

economic,

political,

and

ocial

ife

of

the

Latin

American

colonies

nd

countries.

ust

as he

colonial

and

national

capital

and its

export

sector

become

he

satellite

of the

Iberian

(and

ater

of other)

metropoles

of

the

world

economic

system,

his

satellite

immediately

ecomes

colonial

and

hen

a national

metropolis

with

respect

o

theproductive

sectors

nd

population

of

the

interior.

Furihermore,

he

prov-

incial

capitals

which

hus

are hemselves

atellites

f

the

national

metropblis

and

hrough

he latter

of

the world

metropolis

are n

turn provincial

centers

around

which

their

own

local

satellites

rbit.

Thus,

a whole

chain

of

constell-

ations

f

metropoles

nd

satellites

elates

all

parts

of

the whole

system

rom

its

metropolitan enter n Europeor the United Stateso the farttrestoutpost

n

the

Latin

American

countrvside.

I

Amtrica

Latina,

Afio

6, No.

4

(October-December

963), .

g.

2

Instituto

Nacional

ndigenista,

Los

centros

coordinadorei

;digenistas

Mexico,

1962), .

34.

3

lbid., pp.33-34,

88.


4/11

30

Development

Studies

'i

W. en

we

examine

his


tructure,

we

ind

hat

each

f

he

satellites,

ncruding

now

undeideveloped

Spain

and'portugar,

serves

s

an

instrument

o

suck

capitar

or

economii

surprus

ut

oi

i;r;;n

satelrites

nd

o

channel

part

of

this

surplus

o

the

world

metropolis

oi*rti.r,

ail

are

satellites.

Moreover,

each

national

and

ocal

metropolis

erves

to

impose

andmaintainthe monopolistic tructureandexploitative

elationshif

"iirrir

system

as

he

Instituto

Nacionar

ndigenista

of

Mexico

.uil,

it)-ur';;;

u,

it

serves

he

interests

of

the

metropoles

which

ake

advantug"

or

trrir-giolur,

nationar,

nd

local

structure

o

promote

heir

own

development

nd

he

enrichment

f

heir

ruling

classes.

These

are

the principal

and

still

surviving

structural

characteristics

hich

were

implanted"in

Latin

America

by

the,c"onquert-

"y-o

examining

he

establishment

f

this

colonial

structuie

n

its

hisioricat

cJntext,

heproposed

approach

alls

or

study

of

the

development

and

underdevelopment

of hese

metropoles

and

satellites

f

Latin

America

throughout

he

ollowing

nd

till

continuing

historical

process.

n

this

way

we

can

understand

why

here

were

and

still

are

tendencies

n

the

Latin

American

and

world

capitalist

tructure

which

seem

o

lead

to

the

development

of the metropotisanatheunder.developmentof

the

satellite_

nd

why,

particularly,

the

satellized

ationar,

regional,

and

local

metropoles

n

Latin

America

find

that

their

economic

devetopment

s

at

best

a limited

or

underdevetopeo

;;.i;;;""t.

That

present

underdevelopment

of

Latin

America

is

the

result

of its

centuries.

Iong

participation

n

the

process

f

world

capitalist

o"n"roprrii,

r

berieve

ave.1 own

n

my

case

tudies

f

the

economic

nd

social

istories

f

chile

and

Brazil.a

My

study

of

chilean

history

suggests

hat

the

conquest

not

onry

incorporated

this

country

fulry

into

ire

Eipansion

and

deveffient

of

the

world

mercantile

and

later

inaustrial

capitalist

system

but

that'it

also

ntro

duced

he

monopolistic

metropolis-satelliie

tructure

nd

developmentof

api.

talism

into

the

chilean

domestic

economy

and

society

tsem.

tris

structurE

:*irl"ll1'"d u,nd ermeareda' of chile veryquickly. Sincehat imeandn

the

course

of

world

and

chilean

history

during

he

epochs

f

colonialism,

reo

trade,

mperialism,

and

he

present,

chite

has

become

ncreasingly

arked

y

the

economic,

social,

and poritical

structure

of

satellite

underieveropment

This

development

f

under-development

ontinues

oday,

uoit,

n

ct itrt

stiu

increasing

atelrization

y

the

woird

metropolis

and

th;;"gh;;

vr

mor :

acute

polarization

of

Chile's

domestic

economy.

The

history

of

Brazil

is perhaps

the

clearest

case

of

both

nationar

nd,

regional

development

.of .underdiveropment.

The

expanrion

oi

the

worrc

economy

since

he

beginning

of

the

sixieenth

century

;".;;r;;;.r;

convertod

a

'capitalist

Deveropment.of^Underdeveropment

in

chile,

and

.capitarist

Deveropment

fnderdevelopment n Brazil'in capitarismani urdirirr"rop^ent

in

Lain

Amenca

lxewyort&

ondon:

Monthly

Review

press,

lb67

and

1969).


5/11

f the

as

an

o

he

and

their

which

the

hese

still

were

and

only

of the

ntro-

of

caPi-

and

n

ree

bY

still

more

and

world

of

York

&

Thinking

about

Development 31

the Northeast, he Minas Gerais nterior, the North, and the Center-South

(Rio

de Janeiro, 56o

Paulo, and Paran6) nto export economies

and incor-

porated

them into the structure and

developmentof the

world

capitalist

system. Each of these

regions experiencedwhat may

have appeared as

economic evelopment

uring he

period

of its

golden

age.

But it wasa satellite

development

which

was

neither

self-generating

or self-perpetuating.

s the

market or the

productivity

of the

first three regions declined,

oreign and

domesticeconomic

nterest n them wanedand they

were eft

to

develop he

underdevelopmenthey

live today. In the fourth

region, he coffeeeconomy

experienced

similar houghnot

yet

quite

as

serious ate

(though

he

develop-

mentof a synthetic offeesubstitute

romises

o deal t a mortal

blow n the not

too distant future).

All of this historical evidencecontradicts

he

generally

accepted heses hat

Latin

America

suffers from a

dual society or from the

survivalof feudal institutions and that these are important obstacles o its

economic evelopment.

During the First World War,

however, and even

more during the Great

Depressionand the Second

World War, S5o

Paulo began to build

up an

industrialestablishment

which is the

largest n Latin

America today. The

question

rises

whether his ndustrial

development id or

canbreakBrazil out

of the cycle

of satellitedevelopmentand

underdevelopment

hich has char-

acterized

ts

other

regionsand national

historywithin the capitalist

system o

far. I believe hat the

answer s no. Domestically

he evidence o

far is fairly

clear.The development

f industry n 56oPaulo

hasnot brgught

greater

iches

to

the other

regions of Brazil.

Instead, t has converted

hem into internal

colonial satellites, de-capitalized

hem further, and

consolidatedor even

deepenedheir underdevelopment.

here

s ittle

evidence

o suggest

hat this

processs likely to be reversedn the foreseeableuture except nsofar as he

provincialpoor

migrate and become the

poor

of the

metropolitan cities.

Externally,he evidences hat although

he nitial development

f S5oPaulo's

industrywas relatively autonomous

t is being ncreasingly

atellizedby

the

world

apitalistmetropolisand

ts uture development

ossibilities

re

ncreas-

ingly

estricted.s

his development,my studies

eadme o believe,also

appears

destinedo limited or underdeveloped

evelopment s

ong as t takes

place

n

the

present

conomic,

political,

and

social ramework.

Wemustconclude,

n

short,

hat underdevelopment

s not due o

the survival

of archaicnstitutionsand

he existence f capital

shortage

n regions hat have

remainedsolated rom the streamof

world history. On the

contrary, under-

development as and still

is

generated

by the

very samehistorical

process

which

lso

generated

conomic

development:

he development

of capitalism

itself. hisview, I amglad o say, sgainingadherents mongstudents f Latin

America

nd

s

proving

ts worth

in

shedding

ew ight on

the

problems

of

the

s

Also

see,

The

Growth

and Decline of

Import Substitution,' Economic

Bulletin

for

Latin

America,IX,

No. I

(March

1964); and Celso Furtado,

Dialecticado Desenvolvimiento

Rio

de

Janeiro: undode Cultura. 1964).


6/11

32

Development

Studies

;:;tf.:t

in affording

a

better

perspe*ive

for

the

formuration

of

rheorv

and

The

same

historjclland.srrucrural

approach

an

also

ead

o

better

deverop_

ent

theory

and

poricy

uy

g.n.*tiTja

series

r

rrypoir,"r",

uuout

deverop-

ent

and

underdevelopmenisuch

;;-;ior"

I.am

esting

n

my

current

esearch.

I:

:

J;ffi

,ffi

fi

,iT

$

j:,".T

#;

^eln

ic

l

o-r,'s^5rv,,,

,',

"

o

h

e

ca

m

ropor

en

to

.

d

e

op

;J

;;

Hi.i,ffi':i'Ji:l?::*H:TiTxt:

ypothesis

as

arready

""n

*"niion.i

utou",

,r,",

,."""#r

ro

he

deverop_

ent

of

the

world

metropolis

hich

,

no.on",,

ut"rrit"

,

trr"

oluelopment

of

he

ationar

nd

other

suu"ioinut"-r"rr"pir.,

is

rimited

by

heir

satelrite

tatus.

t

sperhaps

orerifficur,...ri,r*'ilil,n"rt, ,r,* ilrr"il"r,n, on.,because

artof

rs

confirmation

depends

""

iili".,

of

rhe

orher

ypotheses.

onerhe_

ess,

his

hypothesi

app";;,

;;;"

;'.;u'y

"onn.n'.a

u;.i,i;;"_r"ronomous

nd

unsatisfa*orr,T^r_"r"ic

anairpJary

indusrriar

everopmenr

of

Latin

i#T:ffi::,:X',

T""iT,t?f;iljnl-en

e

n

lr

s

u

ie

arre

dy

i

ed

m

opo

a

e

i

o

e

u

"

n

,

;ffi

;

i1i :Xli

H::"JI

f

il*LT:Jl:

n

rhe

ninereenti

cenrury,

was

herefore

argery

";;;;;:o'0,

un,

coroniar

eritage

'

bur

was

ano

emains;;;;;irt;;;.vero^pment

rargerv

ependent

n

he

utside

merroporis,

irst

of

e.i,;;;t ir .n

or

the

United

Srates.

-

A

second

ypothesis

r

ti,urirr"

rul",rii",

exp-erience

heir

greatest

conomic

everopmenr

and

especiary

heir

"ri'.i"rri.iry.rpir.irri',io'ur,r,u,

deverop.

ffi::f ilX,,:;r;tnii.

ties

o

i,",

*,,.p"ri.

uL

*.ur";;.iiis

hypothesiss

m n,n

"

u

"

J"

fi

f",ff

S:

:i,t

, r::j,

:f

";:::,::1,Jil;$

onract

with

and

diffusion

r.o,n

tt.

r*tropolitan

oeveropld

countries.

his

ypothesis

eems

,,

ue

confirm.i

o,

i-J'ut1ds.

of

rerative

soration

hat

Latin

merica

has

experienced

in

,r,.

."'".r"""f

its

historf."o".lr?.

remporary

sorarron

aused

v

rhe

crises

f

*u.oi

a"pr..rrron-in

;;;;;

merroporis.

part

from

minor

ongs,

lve

p..ioo,

orlui

malor

crlses

tand

ut

and

re

een

o

confirm

he

hvpothesrr.

hese

..'

irt"'er.;i";

6;1,ill*,,,

Spanish)

epression

f

the

seventeenth

century,

tre

Naporeonic

wars,

the

First

world

ar,

the

Depression

or

tr,"

ig3oi;;;i;"

Second

wr;rd

\i;;.

rt

is

ctearly

stabrished

nd

generaty

".ognl"olt

l,

in.

n'osr

mportant

ecent

ndustriar

evelopmenr

especiatv

"r

a?g"r-J"#

iazir,

anaMexico,

but

arso

f

orher

ounrres

such

as

chile

-

has

akJn

ptac p"recisety

during heperiods f he wo

.

o.

Others

who

use

a

simil

l o g i c a t l y

ro r to w in g ; ; ; ; i ; ' l a p p ro a c h ' th o u g h th e i r i d e o lo g ie s d o n o tp e rm i r th e mro d e r i v e rh e

(santiago:

roi,.rfu-u"i"srons'

are

AniLral

Pinto.

y i,

u,

;;''t";;";;r:;r';*u

frusrrodo

1n-o.i"nJ.o,i""0#"ft:'rar'.'

1957);

elso

Furtado,

r'r^'"*)'

,;;;;;""

do

Brair

y,11,

yi,"^,;;;;",i;;;;:::,;fi',|,,ff|JilT::.,1I:*",r,."Ji".iffinunoo

Historia

con


7/11

nd

he

first

f

the

t

Latin

ited.

re

he

began

n

the

s

of

This

Latin

are

seen

World

clearlY

ndustrial

of

other

the

two

derive

he

rustrado

do

Brasil

Published

Junior'

I

I

Thinking

about

DeveloPment

33

world

warsand he nterveningDepression. hanks o theconsequentoosen-

ing

of

trade

and

investment

i,es

during

these

periods,

he

satellites

nitiated

mirked

autonomous

ndustrialization

and

growth'

Historical

research

demon-

strates

that

the

same

thing

happened

n

Latin

America

during

Europe's

seventeenth-century

epresiion.

i{anufacturing

grew in

the

Latin

American

countries,

and

several,

such

as Chile,

became

exporters

of

manufactured

goods.

The

Napoleonic

Wars

gave

ise

o

independence

movements

n

Latin

imerica,

and

hese

should

perf,aps

also

be

nterpreted

as

n

part confirming

the

development

YPothesis.

Tne

bther

kind

of isolation

which

tends

o

confirm

the

second

hypothesis

s

the

leographic

and

economic

isolation

of

regions

which

at

one

time

were

,"tu,In"iy

weakly

tied

to

and

poorly

integrated

nto

the

mercantilist

and

capi-

talist system.

My

preliminary

research

suggests

hat

in Latin

America

it

was

these

iegions

which

initiatld

and

experienced

the most promising self-

g"n"rutirig

economic

development

of

the-

classical

ndustrial

capitalist

type'

ih"

.ort

irrrportant

egionaicases

robably

are

Tucum6n

and

Asunci6n'

as

well

as

other

cities,

u.iu.

Mendoza

and

Rosario,

n

the

nterior

of

Argentina

and

Paraguay

during

the

end

of

the

eighteenth

and

the

beginning

of

the

nineteenti

cinturies]

Seventeenth-

nd

-ighteenth-century

56o

Paulo,

long

before

coffee

was

grown

there,

is anothei

example.

Perhaps

-Antioquia

in

Colombia

and

Puebla

and

Quer6taro

n

Mexico

are

other

examples'

n

its

own

way,

chile

was

also

an

example

since

before

the

sea

oute

around

the Horn

was

opened

his

country

was

rel,atively

solated

at

the

end

of

a

long

voyage

rom

Europe

via

Panama.

All

of

these

regions

became

manufacturing

centers

and

evenexporters,usuallyoftextiles,duringtheperiodsprecedingtheireffective

incorpoiationas sateilites nto the colonial,

national,

and

world

capitalist

system.

Internationally,

of

course,

he

classic

ase

of

industrialization

hrough

non-

participation

as

a

satellite

in

the

capitalist

world

system

s

obviously

that

of

i"p".

"tt*

the

Meiji

Restoration'

Wtty,

one

may

ask'

was

esource-poor

ut

uniatellized

Japan

able

to

industrialize

so

quickly

at

the

end

of

the

century

while

esource-rich

Latin

American

countriei

and

Russia

were

not

able o

do

so

and

he

atter

was

easily

beaten

by

Japan

n the

war

of

1904

fter

he

same

orty

yearsof

development

efforts?

The

second

hypothesis

Suggests

hat the

fun.

damental

eason

s

hat

Japan

was

not

satellized

ither

during

he

Tokugawa

or

the

Meiji

period

and

therefore

did

not

have

its

development

structurally

limited

u.

OiO

tt"

countries

which

were

so

satellized'

Acorol laryofthesecondhypothesisisthatwhenthemetropol isrToy:f

from its crisis and re-establisheshe trade and investment ties which fully

re-incorporate

he

satellites

nto

the

system,

r

when

he

metropolis

expands

o

incorpoiate

previously

isolated

regions

into

the

worldwide

system,

the

pre-

vious

development

and

industrialization

of

these

regions

is

choked

off

or

channeled

nto

directions

which

are

not

self-perpetuating

and

promising'

This

happened

fter

each

of

the

five

crises

cited

ibou".

The

renewed

expansion

of

trade

and

the

spreal

of

economic

iberalism

n the

eighteenth

and

nineteenth


8/11

34

Development

Studies

centuries

choked

off

and

reversed

he

manufacturing

development

which

atinAmerica adexp"ri"nceJ""r,g rrr .""ilili.ilr"ury,

uno

n

some

races

t

he

beginning

f

rt"

nin"i""n?rr..arter

iiie

nr.,

#.r,0

war,

he

new

ational

industry

of

Brazil

,"ff";;-;

economicinvasion.^rh".in"r"ur"in;";::T;H':?H;r',o*Lf

ffi::Xl

nd

particularly

of

industrializar;;;'

,ir".,gt

out

t-utin

a*erica

was

again

eversed

and

ndustry

became

ncreasingly-rut"rrir"J

uii";;;

Second

World

ar

and

especiary

aiter

the

p.rl-ii"."",

war

recovery

and

expansion

f

the

etropolis'

Far

from

havingbecome

more

develop"o

,ii""-,hen,

industrial

ectors

f

Brazil

apd

most

conspicuously-ot

arg"ntinu-t

uuJi".on,"

structur_

lly

more

no

*,:ra"ro"""'r"ffi,io

,"r.

;"J

i";;l

io g"n"rute

on_

inued

industrialization

and/or

sustain

oernetopmeni;;-t';"o"omy.

This

rocess'

frory

which

India

also

suffers,

s

reflected

n

,-..rror"

gamut

of

alance-of-piyments,

inffationary,-un-o"otrr",

""ono-i. ini potiticar diffi-

ff-,::

and promises o yield to no

,oiution

short

.f

i".-r"".r,ing

structural

Our

hypothesis

uggests

hat

fundamen

-_.,:

.g:;aticar;

-itr,

r,"

,...n.,"fi

ll'.?il

3J.,ffi.

lT::","".fi

nsatellized

esions.

he

expansioti

igu;n..'irr.,

#

"

,i1",,,r"

of

Grear

ritain

nd

he

ntroduction

irii."

iiJ-n.the

interes,

"r

il"l"rirg

groups

f

oth

metropoles

estroyed

he

manufaciuring

nd

much

of

the

remainder

f

he

economic

ase.of

rt"

p."ui*riiletativety

prosperous

nterior

armost

ntirely'

Manufacturing.

ai

aestry/rla

y

foreign

competition,

ands

were

aken

and

concentrated

nto

rurifriiiu

I

an",

apaciousry

rowing

export

conomy'

ntra-resionar

istribution

f

income

ecame

nu"n?or"

unequal,

nd

the

previousli

developing

egtir'u".u-"

simpre

atelrites

f

Buenos

ires

and

throueir

:

:i

f;,;.j..

iir" p-"i"cial centersiJ no, yietd oatellizationith6uta struggre.

nis

metioporis-satelrite

conflict

was

much

f

he

cause

f

the

ong

politic-ar

na

ur-"a

struggre

etween

he

unitarists

n

uenos

ires

and

hi'Federarir,r;;;;;ovinces.

and

t

may

be

said

o

have

een

he

sole

mportant

ause

f

the

war

of

the

Triple

Ailiun""

in

which

uenos

ires,

Mlntevideo.

"o

nioi"'j

Lo

do

,

o

"'

'ov"J

o

o

n v

r'

"

u

o

no',

l,if,

;

fJ',1"oll-tji.::il'jffii,:l

uay

ut

k'red

off

nearty

tt

or

ts

p;;;-i;rir"

unw'ring

o give

n.

Though

his

s

o

doubt

he

most

pectacurar

.,,rn'pr.

ii.h

tends

"

""#r,n

iireiypothesis,I

elieve

hat

historicar

esearch

J-il

,;;"lrization

"i;;;;i""rry

rerativery

ndependent

eoman-fa'ing

unJin"ip-i#

-unufacturing

egions

uch

s

he

aribbean

srands

it

confirfir

l

f#;;

ihese

regions

id

not

have

chancegainst

he

forces

of

expanding

nd

oevetoping

apitarism,

nd

heir

own

evelopment

ad

o besicrificei to tt ritt otir"ri. rri"

"".".-l

u"o ndustryfArgentina

,Brazir,and

ther

o"";;;

iuri.n

rruu"

xperienced

he

effects

f

7

See

for

instance

Ramiro

Guerra

y

S6nchez,

Azricar^y

probraci,n

en

ras

nt,ras,

2nd

ed.

fi.l:Trlit''

also

ublished

"'

srs"i

"ri

i"ri",yiiin,

coritt"orz

New

Haven:

are

universitv

ri

I

I


9/11

which

n some

new

Product

World

the

This

ven

of

f

almost

were

export

unequal,

Buenos

yield

to

much

of

n

o have

n

which

by

his

is

relatively

as

he

a chance

own

ndustry

effects

of

ed.

Thinking

about

Development

3b

metropolitan

ecovery

since

he

Second

world

war

are

today

suffering

much

the same ate, f fortunatelystill in lesserdegree.

-

A third

major

hypothesis

erived

rom

the


tructure

s

that

the

regions

which

are he

most

underdeveloped

nd feudal-seeming

oday

are

he

ones

which

had

the

closest

ies

o

the

metropolis

n

the past.

They

are

the

regions

which

were

he

greatest

exporters

of primary

products

o

and

the

biggest

ources

f capital

or

the

world

metropohjand

werl

abandoned

y

the

metropolis

when

for

one

reason

or

another

business

ell

off.

This

hypotiresis

also

contradicts

he

generally

held

thesis

hat

the

source

of

a region'i

under-

development

s

its isolation

and

ts

pre-capitalist

nstitutions.

This

hypothesis

eems

o

be

amply

confirmed

by

the former

super-satellite

development

nd

present

ultra-underdevelopment

f the

once

sugir-exporting

west

Indies,

Northeastern

Brazil,

the

ex-mining

districts

of Miias

Gerais

n

Brazil,

highland

Peru,

and

Bolivia,

and

the

central

Mexican

statesof Gua-najuato, Zacatecas,and

others

whose

names

were

made

world

famous

cen-

turies

ago

by their

silver.

There

surely

are

no

major

regions

n

Latin

America

which

are today

more

cursed

by

underdevelopment

nd

poverty;

yet

all

of

these

egions,

ike

Bengal

n

India,

onceprovided

he

ife

blood

oi mercantile

and

ndustrial

apitalist

evelopment

in

the

metropolis.

These

egions'

partici-

pation

n

the

development.of

he

world

capitalist

ystem ave

heir,

ahjady

in

their golden

age,

the

typical

structure

of

underdevelopment

f a

capitalist

export

economy.

when

the

market

or

their

sugar

or the

wealth

of theiimines

disappeared

nd

the

metropolis

abandoned

hem

to

their

own

devices,

he

already

existing

economic,

political,

and

social

structure

of

these

regions

prohibited

utonomous

eneration

f

economic

evelopment

nd eft

them

no

alternative

ut

to turn

in

upon

themselves

nd

to

degenerate

nto

the

ultra-

underdevelopment

e find theretoday.

These

onsiderations

uggest

wo

further

and

elated

hypotheses.

ne is

hat

he

latifundium,

rrespective

f whether

t

appears

oday

as

aplantation

or

a hacienda,

was

ypically

born

asa commercial

nterprise

which

created

or

tself

he

nstitutions

which

ermitted

t

to respond

o

increased

emand

n

the world

or national

market

byexpandingthe

mountof

tsland,

apital,

ndlaborandto

ncreasethesupplyof

itsproducts.

The

fifth

hypothesis

s

that

the

atifundia

which

appear

solated,

sub-

sistence-based,

nd

semi-feudal

oday

saw

he

demand

or

ttreii products

or

their

productive

apacity

decline

and hat

they

are

o be ound

principitty

in

the

above-

named

ormer

agricultural

and

mining

export

regions

whose

economic

activity

declined

n general.

These

wo

hypotheses

un

counter

to

the

notions

of most

people,

nd

even

o

the opinions

of some

historians

nd other

students

f the

sub-

ject,

according

o whom

the

historical

oots

and socioeconomic

auses

f Latin

Americanatifundia and agrarian nstitutionsare to be found in the transferof

feudal

nstitutions

rom

Europe

and/or

n economic

depression.

The

evidence

o test

hese

hypotheses

s

not

open

o

easy

general

nspection

and

equires

detailed

analyses

f many

cases.

Nonetheless-,

ome

mportant

confirming

vidence

s available.

The

growth

of the

atifundium

n nineieenth-

century

rgentina

and

cuba

is

a clear

case

n support

of

the fourth

hypothesis


10/11

36

Development

Studies

and

can

n

no

way

be

attributed

o

the

transfer

of

feudar

nstitutions

uring

colonial

imes.

The

same

s

evidently

he

case

f

the post-revolutionary

nd

contemporary

esurgence f latifundia,particularlyn the northof Mexico,

which

produce

or

he

American

market,

and

of

similar

nes

n

he

oast

f

peru

and

he

new

coffee

egions

f

Brazil.

The

conversion

f previously

eoman-

farming

aribbean

slands,

uch

s

Barbados,

nto

sugu.-"*fo.trngeconomresa

various

imes

etween

he

seventeenth

nd

wentieth"centuries

nd

he

esulting

rise

of the

atifundia

n

hese

srands

ourd

eem

o

confirm

he

ourth

ypothesis

as

well '

n

Chile,

he

ise

of

the

atifundium

nd

he

creation

f

he

nstitutionsof

servitude

which

ater

came

o

be

called

eudal

occurreo

n

ttre

eigh-t..nth

.ntury

and

have

een

oncrusivery

hown

o

be

he

esult

fand

esponse

o

he

pening

of

a

market

or

chilean

wheat

n

Lima.

Even

he

growth

nd

onsolidation

f

he

latifundium

n

seventeenth-century

Mexico

which

most

expert

tudents

ave

attributed

o

a depression

f

the

economy

aused

y

he

decline

f

mining

nd

shortage

f

Indian

abor

and

o

,

.onr"quent

turning

n

upon

tserf.and

urariza_

tion of the.economy occurredat a time whenurb"an opurutronnd

demand

were

growing,

ood

shortages

ere

acute,

ood

prices

tyr".t.ti"g,

and

hepro-

fitabil ity

f

other

economicactivities

uchas

mining

nd

oreign

rade

ecrining.e

All

of

these

and

other

factors

endered

haciendiagricultui

more

profitabre.

Thus,

even

his

case

would

seem

o

confirm

he

hypoihesi,

r,ut

t

.

g.owth

f he

latifundium

nd

ts

eudal-seeming

onditions

f

servitude

n

Latin

America

as

always

een

and

s

stil l

he

commeicial

esponse

o

ncreased

emand

nd

hat

t

does

not

represent

he

ransfer

r

sun'ival

r

uti"n

nstitutions

hat

have

emarned

beyond

he

reach

of

capitalist

evelopment.

he

emergence

f

atifundia,

hich

today

eally

are

more

or ess

though

ot

entirely)

soi-ated,

ighitlr.n

be

trri-

buted

to

the

causes

dvanced

n

the

fifth

hypothesis

i.e.]

the

decline

f

previously

rofitable

gricultural

nterprises

hose

apital

ur,

und

hor.

un

rently

produced

economic

urplus

tilr

s,

transferred

"tr"r"t "r. uyownersndmerchants ho frequentlyarcthe samepersons

r

families.

esting

his

ypo-

thesis

equires

til l

more

detailed

nalysis,

ome

f

which

have

ndertaken

n

a

study

on

Brazilian

agriculture.r0

-

o

Mario

G-6ngora,

origen

de

ros

'inquilinos'

de

Chite

centrar

(santiago:

Editoriar

Uni-

ersitaria,

1960);

Jean

B-orde

and

uaiio

congora,

Evoruci6rt

de

ra propiedad

urar

n

el

valle

del

puango

(santiago:

nstituro

de

soci"ologia

e

la

Universiduo

i

ir,'.);

srrgio

Seprilveda.

l

ftigo

chileno

en

el

mercado

mundial

santiago:

Editorial

Universitaria,

959).

" woodrow

Borah

makes.depression

he

centerpiece,of

is

explanation

n

.New

Spain

century

of

Depression,'

bero'Americana,

o.35

(Berkeley,

qsrl.

err"EJra;;;;.;irof

turningin

upon

tself

n

the

most

authoritative_study

f

the

uu;".,,

'La

formaci6n

e osgrandes

atifundios

en

M6xico,'

Problemas

gricoras

nduitriates

e

Mexico,

vIII,

No.

1,1956(transratedfromrhe

original

French

and

recently

published

uy

ttre

universrty

of

california

press).

Thedatawhichrovide he basis or my contrary nterpretation

re

supplied

y

these

uthors

hemselves.

his

roblem

s

discussed

n

my

6Con

qu6

modo

oe produccion

onvLrte

u guttinu

,uir.n

huevos

e

oro?'

and

t

is

urther

anarvzed

n

lstu 1.or

rvrexicun

g.rcuttur.

na.,

pi.furutroi'iy

t

,unor.

0

capitalism

and

the

vyth

of

Feudalism

n

s.uriliun

Agricurture,,

n

Capitarism

nd

nder.

developmenr

n

Latin

Amitca.

u( /n .

" Vo

4Po

topo^

,

nnrn,,

",n

,

nJf,rs

"

t '

6


11/11

nd

eru

f

he

ave

nd

a

the

hat

t

attri-

of

ur-

and

hypo-

n

a

Uni-

rural

en

Sergio

Century

in

tifundios

rom

the

which

This

huevos

de

Under'

Thinking

about

Development

g7

All

of

these

hypotheses

nd

studies

uggest

hat

the

global

extension

nd

unity

of the capitalistsystem, ts monopoly structureand unevendevelopmeni

throughout

ts

history,

and

he resulting

persistence

f

commercial

ather

han

industrial

capitalism

in

the

underdeveloped

world (including

its

most

industrially

advanced

ountries)

deserve

much

more

attention

n

the

study

of

economic

development

nd cultural

change

han

they

have

hitherto

received.

Though

science

and

truth

know

no

national

boundaries

t

is

probably

new

generations

f scientists

rom

the

underdeveloped

ountries

himselves

who

most

need

o,

and

best

can,

devote

he

necessary

ttention

o these

problems

and

clarify

the process

of

underdevelopment

nd development.

t

is their

people

who

in

the

last

analysis

ace

he task

of

changing

hiino

longer

accept-

ableprocess

nd

eliminating

his

miserable

eality.

They

will

not

be

able

to

accomplish

hese goals

by

importing

sterile

stereotypes

rom

the

metropolis

which

do

not

correspond

o

their

satellite

economic eality and do not respond o their liberatingpolitical

needs.

To

change

heir

reality

hey

must

understand

t.

For

this

reason,

hope

hat

better

confirmation

of

these

hypotheses

nd

urther

pursuit

of

the

proiosed

histori-

cal,

holistic,

and

structural

approach

may

help

the

peoples

of

tt"

under-

developed

ountries

o

understand

he

causes

nd

eliminate

he reality

of

their

development

f underdevelopment

nd

heir

underdevelopment

f

deveiopment.

3

David

Booth,

'Marxism

and

Development

Sociology:

Interpreting

the

lmpasse,

Excerpts

rom:

World

Development

13

(71,761-gl

(1gg5)

l.

Dependency

heory

and

the

sociology

ofdevelopment:

ifteen years

after

The

dominant

eature

on

the

horizon

of

radical

development

heory

today

s

undoubtedly

he

decline

and

threatened,

but

nevei

quite

realized,

dis-

appearance

f the

dependency

erspective

s a

widely

aciepted

approach.

refer

ere

o the general

belief,

nfluential

n

research

n a number

oi

parts

of

the

world,that the development roblemsandhence he socialstructures nd

politics

f

less

developed

ountries

are

to

be

understood

rimarily

n

terms

of

the articular

nature

of their

nsertion

nto

the

nternationil

capitalist

ystem

rather

han

n

terms

of

largely

domestic

onsiderations.

ifferent

writeis

n the

dependency

radition

have,

of course,

assigned

ifferent

weights

o the

several

constituent

roperties

of

'dependent'

or

'peripheral'

staius,

emphasizing

Frank Dev of Under Dev

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